Best way of beating a competitor
So what are the best way of beating a competitor in the alcohol business with lower prices and earlier opening hours than you.
I assume you are a retailer as you talk about opening hours.
The reason that management can be taught and learn as a general subject is that the principles apply to practically any business. So, my response to this can be taken into account when you think about any competitive business, and especially any retailer.
In retail, there are many factors which lead people to choose to shop in a certain place, the most important of which is location.
Is yours a good location? Is there parking, easy access, proximity to transport links?
Is the shop pleasant, well laid out? Is service good? Have you got the right products in your range?
If all these factors are taken into account, and you are concerned about your competitors pricing and earlier opening, then consider how to overcome these issues.
Can you match your competitor’s prices and opening hours? Do you need to?
Are you sure they are giving him an advantage over you? Maybe he is not busy in those extra hours, has misjudged the advantage it might give him and is incurring additional staff costs with insufficient return?
Perhaps he is losing money by undercutting your prices and will go out of business?
Is he sourcing better than you, paying less? Can you source better?
Then you need to consider what your strategy is, and your USP (unique selling point). Are you selling and competing on price? Or are you offering better service, better quality product, a wider range, unusual products, different services.
Consider how you will appeal to the customer. What do they want from a store like yours? What is the best place to position yourself for a successful business? Is it to go head to head on price, or can you build a different niche, perhaps one that will allow you to make more profit.
This will depend on a number of factors, such as the local clientele, do you sell online, can you reach customers further away in a more affluent part of town? Should you deliver to client’s homes?
Maybe chat with customers, or even ask them to fill in a short survey in the shop or online. Ask them what they would like you to offer. Maybe they want to place a regular order that you can deliver to their home. Or they want unusual wines or beers. Perhaps they would like a tasting evening. Should you add other products to your range such as packaged snacks?
The beauty of retail is that the options are almost infinite. I hope this has given you a few ideas to get you started and become more competitive.
Best of luck